Independent Study Finds Businesses Using Chronosphere’s Cloud Native Observability Platform Gain $7.9 Million in Business Value

Independent study explores the business value of Chronosphere's Cloud Native Observability Platform.
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The Total Economic Impact (TEI) Study reveals significant cost savings, dramatically reduced downtime, and greater engineering productivity – culminating in a 165% return on investment.


NEW YORK —December 12, 2022 — Chronosphere, the only cloud native observability platform that tames rampant data growth and complexity for engineers, today announced the results of a Total Economic Impact™(TEI) study, conducted by Forrester Consulting on behalf of Chronosphere. The study, which examined the cost savings and business benefits enabled by Chronosphere, found that customers using the company’s cloud native observability platform returned $7.9 million in benefits over three years, with $4.9 million in cost savings, for a 165% return on investment. The average payback period was less than six months.

The results of the TEI study are based on interviews conducted by Forrester with Chronosphere customers, and Chronosphere stakeholders. The results were combined into a single composite organization. Click to view the complete study.

The study noted that “organizations improved reliability and reduced incidents to give time back to key resource groups such as developers, engineers,and help-desk workers. In addition to time spent in triage during downtime from incidents, the organizations avoided permanent revenue loss that occurred during critical downtime events.” Key findings of the Forrester study include:

  • Reduces incidents related to poor reliability by 75% for an estimated $5.2 million reduction in downtime. Customers using Chronosphere have greater visibility across their larger systems and the ability to more quickly pinpoint and remediate problems, significantly reducing the likelihood of incidents.
  • Provides savings of $1.6M on storing observability data. Most vendors charge clients for their stored data, regardless of how little or how much that may be. Chronosphere allows customers to choose and pay for only the data and metrics they need. On average, customers in the study reduced stored data by 40%, resulting in $1.6M in additional savings.
  • Consolidates up to 50% of legacy observability tools. Organizations have often adopted a siloed and disorganized approach to observability, resulting in solutions made up of mismatched technology. With Chronosphere, customers consolidated legacy tools saving them an additional $381,000 from associated annual licensing and support costs over a three year time period.

Cuts time spent on administrative observability tasks by 65% — saving nearly $800,000. Chronopshere’s highly performant platform is intuitive and built for the way cloud native engineers need and want to work. Cut time previously spent on upkeep and administration by 65% and allowed customers to avoid adding additional teammates to manage observability as metrics grow. $798,000 in savings over three years.

The technology industry’s continuing shift to cloud native has created more complex systems and a deluge of data – generating greater demand for scalable, reliable, and cost-effective observability solutions. As organizations navigate economic instability, reduced budgets, and leaner engineering teams, effective and cost efficient observability solutions will be critical for success and long-term survival.

In addition to cost savings, the TEI study also found that the improved reliability and more streamlined workflows lead to greater internal employee satisfaction and more positive end user experiences. Engineers have more time to focus on business critical tasks rather than wasting hours searching for and remediating problems. Less system downtime also improves customer experiences and drives greater retention, acquisition, and customer satisfaction rates.

“The economics of cloud-native observability are broken, with data, complexity, and costs spiraling out of control,” said Martin Mao, co-founder, and CEO of Chronosphere. “We believe the results of Forrester’s study validate what our growing customer base already knows — that observability done right can effectively tame the complexity of cloud native architectures without breaking the bank.”

To showcase potential returns each business can achieve, Chronosphere also launched the Chronosphere ROI Estimator — a free, interactive return on investment estimator based on models used in the report. This tool allows businesses to receive a tailored estimate of the economic impact that Chronosphere’s platform could have on their business. The calculator utilizes values unique to each company, including observability data growth rates, average number of downtime incidents, and annual spend on observability costs.

About Chronosphere

Chronosphere is the only cloud native observability platform that puts engineering organizations back in control by taming rampant data growth and cloud native complexity while accelerating innovation. Faster alerts and issue resolution ensures responsive and reliable cloud native workloads underlying the most valuable services at leading organizations like DoorDash, Robinhood, and Abnormal Security. Teams at organizations of all sizes trust Chronosphere to help them drive competitive advantage and world-class customer experiences while reducing engineering burnout and eliminating lock-in. Chronosphere is a remote-first company, backed by Greylock, Lux Capital, General Atlantic, Addition and Founders Fund. For more information, visit or follow @chronosphereio.

Additional Resources

Chronosphere ROI Estimator

Total Economic Impact™(TEI) study

Chronosphere blog: Independent analyst study shows Chronosphere delivers 165% ROI and reduces critical incidents 75%

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